**Policy Summary: Development of Shipbuilding and Ship Repair Facilities in Tamil Nadu**
This document summarizes the Indian government's initiatives regarding shipbuilding, ship repair facilities, and port-led development in Tamil Nadu, as addressed in Lok Sabha Unstarred Question No. 3294, answered on August 8, 2025, by the Minister of Ports, Shipping and Waterways, Shri Sarbananda Sonowal.
**Key Initiatives and Investments:**
* **V.O. Chidambaranar (VOC) Port (Tuticorin):** The government has approved the development of bunkering and refueling facilities for green methanol at VOC Port, with an investment of Rs. 35.34 crores.
* **Outer Harbour Development (VOC Port):** VOC Port is exploring the development of an outer harbor under a Public-Private Partnership (PPP) model, with a potential capacity of approximately 4 million TEUs and a total project cost of around Rs. 12,500 crores.
* **Coastal Employment Unit (CEU) (VOC Port):** VOC Port has identified 765 acres of potential leasable area under the CEU and has allotted 560.82 acres of vacant land for various industries. The proposed investment towards the green hydrogen production industry is Rs. 41,860 crores.
* **Shipbuilding and Ship Repair Yard (VOC Port):** VOC Port has been identified for the development of a shipbuilding and ship repair yard capable of constructing vessels up to 300,000 DWT. The estimated cost for the initial phase of this project is Rs. 3,840 crores.
* **Kattupalli Port:** The Government of India has not initiated any proposals for Kattupalli Port, as it is a Non-Major Port under the jurisdiction of the State Government of Tamil Nadu.
**Multimodal Connectivity Upgrades:**
* VOC Port benefits from existing rail and road connectivity. National Highways NH138 and NH45B connect the port to northern and southern hinterlands. The port's railway sidings are connected to the Indian Railways network via the Milavittan station (MVTN), linking it to Madurai, Trichy, Chennai, Bangalore, and other regions.
* The Government of Tamil Nadu, with central government assistance, is upgrading national highways, port access roads, and industrial corridors throughout the state to ensure efficient cargo evacuation.
Key Entities Referenced
Ministry of Ports, Shipping and Waterways: The Indian government ministry responsible for ports, shipping, and waterways.
Thiru Dayanidhi Maran: Member of Parliament who posed the question about shipbuilding and ship repair facilities.
Tamil Nadu: A state in southern India where port development and industrial zones are being expanded.
V.O. Chidambaranar Port: A major port in Tamil Nadu, also known as VOC Port, where significant development projects are underway.
Kattupalli Port: A non-major port in Tamil Nadu, under the jurisdiction of the State Government of Tamil Nadu.
Make in India: An initiative by the Government of India to encourage domestic manufacturing.
Sagarmala: A Government of India initiative to promote port-led development.
Sarbananda Sonowal: Minister of Ports, Shipping and Waterways
GOVERNMENT OF INDIA
MINISTRY OF PORTS, SHIPPING AND WATERWAYS
LOK SABHA
UNSTARRED QUESTION NO. 3294
ANSWERED ON 08.08.2025
SHIPBUILDING AND SHIP REPAIR FACILITIES
3294. THIRU DAYANIDHI MARAN:
Will the Minister of PORTS, SHIPPING AND WATERWAYS be pleased to state:
प(cid:517)न, पोत प(cid:303)रवहन और जलमाग(cid:330) मं(cid:361)ी
(a) the specific initiatives proposed/approved by the Union Government for Tamil Nadu
particularly V.O. Chidambaranar Port and Kattupalli Port;
(b) the quantum of investments, public/private, committed towards expanding port-led
industrial development zones and maritime clusters in the State of Tamil Nadu;
(c) whether the Government identified any sites within Tamil Nadu for the establishment
of dedicated shipbuilding and ship-repair facilities under the “Make in India” and
Sagarmala initiatives, if so, the timeline and proposed scale of such facilities; and
(d) the manner in which the Government plans to upgrade multimodal connectivity for
Tamil Nadu—road, rail and inland waterways—to ensure efficient cargo evacuation and
attract transhipment traffic from neighbouring regions?
ANSWER
MINISTER OF PORTS, SHIPPING AND WATERWAYS
(SHRI SARBANANDA SONOWAL)
(a) and (b) Government of India has approved the project ‘Development of Bunkering and
Refuelling facilities for Green Methanol at V.O. Chidambaranar Port at a cost of Rs. 35.34
crores. V.O. Chidambaranar Port is exploring the development of an Outer Harbour under
the PPP model, aiming for a potential capacity of around 4 MTEUs at a total project cost
approximately Rs. 12,500 crores. VOC Port has identified potential leasable area of 765
acres under Coastal Employment Unit. Port has allotted 560.82 acres of vacant land for
various industries under CEU and the proposed investment towards Green Hydrogen
production industry is Rs. 41,860 Cr. Kattupalli Port is a Non-Major Port under the
justification of State Government of Tamil Nadu. The Government of India has not
initiated any proposals for Kattupali Port.
(c) V.O. Chidambaranar Port is among the locations identified for development of
Shipbuilding & Ship repair yard capable of constructing vessels up to 3,00,000 DWT with
an estimated cost of Rs.3840 Cr (Initial Phase).(d) VOC Port has excellent rail & road connectivity. The two, four-lane National
Highways, NH138 and NH45B connect the Port to the Northern and Southern hinterlands.
Further, the Port's railway sidings and yard are connected to the Indian Railways network
linking the Port through the Milavittan station (MVTN) to Madurai, Trichy, Chennai,
Bangalore and other southern/northern hinterlands. Further, to ensure efficient Cargo
evacuation, the Government of Tamil Nadu, with assistance from Central Government
Ministries is upgrading National Highways, Ports access roads and industrial corridors
across the State.
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